Pembina Pipeline plans C$670 million expansion of lines
CALGARY, Alberta (Reuters) - Pembina Pipeline Corp (PPL.TO: Quote) said on Wednesday it will spend C$670 million ($673 million) on a 108,000 barrel per day expansion of its Western Canadian pipeline systems.
The company, which reported a 2 percent rise in third-quarter profit on Tuesday, said it plans to boost the size of its Peace and Northern pipeline systems to accommodate rising production.
Pembina's Peace pipeline system takes oil and natural gas condensate from fields in northeastern British Columbia and northwestern Alberta to the Edmonton, Alberta, transportation hub. The company will spend C$215 million to boost capacity on the system by 55,000 bpd to 250,000 bpd by late 2014.
The company will spend an additional C$330 million raising the capacity of the Northern pipeline system by 53,000 bpd to 220,000 bpd by the middle of 2015.
The line takes natural gas liquids from fields in B.C. and northwestern Alberta to the Fort Saskatchewan refining center near Edmonton.
A further C$125 million will be spent tying new fields into the expanded lines.
The company said third-quarter profit rose to C$30.7 million, or 11 Canadian cents a share, from C$30.1 million, or 18 Canadian cents, in the year-prior quarter.
Pembina shares rose 7 Canadian cents to C$28.09 on the Toronto Stock Exchange.
($1 = 0.9949 Canadian dollar)
(Reporting by Scott Haggett; Editing by Steve Orlofsky)
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